NEW YORK, March 30, 2006 (PRIMEZONE) -- Notice is hereby given that a class action lawsuit was commenced in the United States District Court for the Middle District of Florida on behalf of all purchasers of PainCare Holdings, Inc. ("PainCare" or the "Company") (AMEX:PRZ) securities between August 27, 2002 through March 15, 2006, inclusive (the "Class Period"). A copy of the complaint filed in this action can be viewed on the firm's website at www.faruqilaw.com
The complaint charges defendants with violations of federal securities laws by, among other things, issuing a series of materially false and misleading press releases concerning PainCare's financial results and business prospects. Specifically, the complaint alleges that PainCare failed to disclose, among other facts, that: (a) the Company materially overstated its financial results by improperly accounting for its numerous acquisitions and certain other non-cash expenses; (b) the Company's financial results were in violation of GAAP; and (c) the Company's internal controls were inadequate. As a result, the price of the Company's securities were artificially inflated throughout the Class Period. On March 15, 2006, however, PainCare stunned investors when it announced that it would have to restate its financial results back to 2000. In response, PainCare's stock price dropped nearly 13% on heavy trading, a drop of more than 50% from its Class Period high.
Plaintiff seeks to recover damages on behalf of himself and all other individual and institutional investors who purchased or otherwise acquired PainCare securities between August 27, 2002 and March 15, 2006, excluding defendants and their affiliates. Plaintiff is represented by Faruqi & Faruqi, LLP, a law firm with extensive experience in prosecuting class actions, and significant expertise in actions involving corporate fraud.
If you wish to obtain information concerning joining this action you can do so under the "Join Lawsuit" section of our website at www.faruqilaw.com
If you purchased PainCare securities during the Class Period, you may, not later than May 19, 2006, move the court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action, or have any questions concerning this notice or your rights or interests, please contact:
ANTHONY VOZZOLO, ESQ. JOSHUA WEINSTEIN, ESQ. FARUQI & FARUQI, LLP 320 East 39th Street New York, NY 10016 Telephone: (877) 247-4292 or (212) 983-9330 e-mail: Avozzolo@faruqilaw.com e-mail: Jweinstein@faruqilaw.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca